<![CDATA[This research aimed to get empirical evidence of factors in Financial Ratios (return on equity, net profit margin, and dividend payout ratio) and good corporate governance (independent board of comittee, and public ownership structure) that affect practice of income smoothing.This research uses purposive sampling as sampling method. There are 13 corporates from 30 corporates that listed in Jakarta Islamic Index (JII) during 4 (four) years observation started from 2011 to 2014, thus 52 research samples were being collected. Agency Theory is the base theory used in the research to explain the relation between variables. Income smoothing measured with Eckel Index (1981). Statistical tool used to test the hyphothesis is Binary Logistic Regression. This result discovers that net profit margin has effect on practice of income smoothing, whereas return on equity, dividend payout ratio, independent board of committee and public ownership structure have no effect in practice of income smoothing ]]>
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